Voice Com, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 4,950 cell phones are as follows:Variable costs per unit:Direct materialsDirect laborFactory overheadSelling and administrative expensesTotal variable cost per unit$69322620Fixed costs:Factory overheadSelling and administrative expensesVoice Com desires a profit equal to a 15% return on invested assets of $600,500.$147>a. Determine the amount of desired profit from the production and sale of 4,950 cell phones.90,075$199,20068,900b. Determine the product cost per unit for the production of 4,950 cell phones. Round your answer to the nearest whole dollar.-158 X per unitTotal Costc. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places.-66 X %MarkupSelling priced. Determine the selling price of cell phones. Round your answers to the nearest whole dollar.per unitper unitper unit

Lets understand the basics.Cost of the product includes all the cost i.e. variable as well as fixed.…

Voice Com, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 4,950 cell phones are as follows: Variable costs per unit: Direct materials Direct labor Factory overhead Selling and administrative expenses Total variable cost per unit $69 32 26 20 $147 Fixed costs: Factory overhead Selling and administrative expenses Voice Com desires a profit equal to a 15% return on invested assets of $600,500. $199,200 68,900 a. Determine the amount of desired profit from the production and sale of 4,950 cell phones. $ 90,075 ✔ b. Determine the product cost per unit for the production of 4,950 cell phones. Round your answer to the nearest whole dollar. -158 X per unit c. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places. -66 X % d. Determine the selling price of cell phones. Round your answers to the nearest whole dollar.

Voice Com, Inc. uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 4,950 cell phones are as follows: Variable costs per unit: Direct materials Direct labor Factory overhead Selling and administrative expenses Total variable cost per unit $69 32 26 20 $147 Fixed costs: Factory overhead Selling and administrative expenses Voice Com desires a profit equal to a 15% return on invested assets of $600,500. $199,200 68,900 a. Determine the amount of desired profit from the production and sale of 4,950 cell phones. $ 90,075 ✔ b. Determine the product cost per unit for the production of 4,950 cell phones. Round your answer to the nearest whole dollar. -158 X per unit c. Determine the product cost markup percentage for cell phones. Round your answer to two decimal places. -66 X % d. Determine the selling price of cell phones. Round your answers to the nearest whole dollar.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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